Chancellor Rachel Reeves’ ‘Leeds Reforms’ aim to boost mortgage availability through relaxed loan-to-income limits, simpler remortgaging rules, and a permanent Mortgage Guarantee Scheme.

David Alexander, CEO of DJ Alexander Ltd, welcomed the measures but warned they could trigger a housing bubble without matching increases in supply. He compared the risk to pre-2008 lending, when lax checks and high income multiples led to a crash that took years to recover from.

He cautioned that without stronger housebuilding and PRS support, easier credit could inflate prices, leading to higher borrowing and repayments without solving affordability problems.